first you Thank good and afternoon, for everyone. earnings XXXX for you, joining us Thank our Denise, quarter call. all
another across guidance provide quarter Dale call, communicated quarter delivered our and XXXX in on today's previously second During quarter of QX, our ranges I details strong and year guidance first Instructure guidance. provide will exceeding results our and all full metrics. updated
for divestiture, in revenue $XXX.X XX% the up of growth value ACR, $XXX back up allocated receipts, year-over-year, our were which XX.X% was combined infrastructure We We adjustments our to gross improve and revenue Bridge points support XX% impact we business. a of million, GAAP underlying fair while visibility gives GAAP think the was efficiency Normalizing operations. year-over-year. margin acquired record respectively. or of quarter up million, of up year-over-year the better as ACR QX, XXX continue and year-over-year, XX% First non-GAAP adds and XX% to ACR, achieved investors into basis revenue, unearned the IT
$XX.X the lines. EBITDA First we both LMS and XX% quarter a adjusted gross on further international year-over-year United XX% continues as major margin operating competitors demonstrated million, to displace leverage markets. States EBITDA adjusted across margin the Canvas in and legacy our grew to
and our Learning traction Instructure Beyond at assessments during continue strategy we product our from rate. LMS, further strong as a the deals the gained grew Platform to land quarter ACR large double-digit
in every talk strategic the organic strive of M&A teaching to billion increasing and share about now highlights I $XX the and key and five want quarter. we to capture We expect from through platform continue an development our investing opportunity. as connect to aspect market of learning
in U.S. saw the ease to country we its once and First, our education, UX. use, education scalability, and international. Higher key higher strength continue of again flexibility choose for superior markets, in QX, K-XX of each institutions across Canvas
long-term strategic a within as when wins. key their find Higher school institutions system share And system. select Canvas is partner. of highly-engaged best X.X we practices, often tend users beget that Our a Instructure the million and deciding same especially more also education to wins collaborate factor institutions within cited school as community
be universities students over all contracted combined announce that QX, of XXX,XXX For We Since then, example, our in and couldn't in system more first Canvas. State of CSU universities more XXXX. have Canvas adopted Instructure. enrollment to are was pleased with the CSU with California adoption University XX more a as
Impact Beyond solutions, and Pathways. Canvas use number CSU Platform LMS, Instructure universities other a Studio, Learning of including
and LMS benefits learning decisions increasingly continuity purchasing market education factor the significant with from As network the teaching and in provider as higher K-XX effects of Canvas share, experience. only
especially legacy institutions, quarter, community or In better addition education George's incoming in Prince to radar population. the with Prince months PGCC, joined the and Community colleges, community ensure district for first-generation product ago. themselves, K-XX selected of student K-XX PGCC's been PGCC wanted schools understand Maryland, since a Last Instructure preferences to the collaborate students enter Canvas over incumbent collaborating the College, in on George's seamless had four in needs to amongst students. higher Instructure first college, a especially transition XX deal.
uniquely provider largest Canvas higher to was K-XX the As PGCC's positioned offerings, and education needs. serve of
works K-XX offering and increase both solutions an the to experience to competitive more districts effect the expect and created even stronger. K-XX District with the the solution to as ISD As higher School the Branch XX,XXX-plus of students education Spring by K-XX in its Spring Houston. markets K-XX Branch LMS by win ways, we continues, education digital This adopt advantage enterprise-class quarter transformation as our network grows Independent across XX Canvas both enrolled evidenced effect competitive school chose network last district. serve
institutions Texas factors reputation well wider Canvas' with as the For go strong community its with to Spring education higher were education continuity as in decision ISD, Canvas. Branch key in regional
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system. instructional spent we Spain, competitive priced the selected at by a an the of rigorous multi-year quarter, in replace UCAM over steep enabled agreement source open During review, offer a XXX LMS to support with time UCAM, discount. XX% the portfolio of of understand LMS, The product decision down right a superior comes LMS and to a They solution, over product customer importance on other level host workflows strong Canvas in the an rarely chose After classroom we university their alone. partner. a With a selecting factors. ecosystem a signed the fundamental the Canvas and of institutions price exceptional because of educational partners, private
resulting of through Second, our base products expanded logo across offerings are penetration deals. of higher customer and our cross-sell opportunities focused go-to-market new and both in set
MasteryConnect During Navigate Certica existing District, content competitive management School selected and the Item over solutions. with customer, assessment assessment system our Bank LMS acquired we formative quarter, the Nebo an Canvas
helping School Nebo learning districts assessments, frequent benchmark a ESSER proactively III American learning the is like a learning Rescue model more District social Plan loss earlier appropriated are with on digital billion pandemic-related to loss transition which K-XX funds for Addressing $XXX identify under teaching earmarked loss. based priority the We enable interventions. of key XX% of and
ARPU LMS solution. K-XX ARPU two than significant a represent our customer our Assessments of assessment opportunity to of is K-XX level for Instructure times greater as the solutions the growth three
to are growth. drive we investments our and expand disciplined Third, platform long-term making
pursue Our M&A high margins. investment reinvest and industry-leading capital requirements while maintaining and gross allow deleverage margins, strong sales execution, to the productive business, us in R&D strategic low
this Our adjusted updated expectation expansion Dale EBITDA our margin reflects for discuss which XXXX in guidance, detail will further call, the greater in year. later
higher outlook expected Our EBITDA to any adjusted sales our full planned stronger increases XXXX change and is year margins R&D faster than in by driven previously margin and ACR without gross growth headcount.
to On drive expanding of achievements technology strategic earned to acquisition enables potential continue the invest use to our millions continue employers over micro-credentialing have our increasing the profitable April TAM and Fourth, demonstrate of with XXX Concentric as growth. Platform Instructure LMS. of we the and in long-term will We capabilities. M&A Learning business we technology XX,XXX Badgr Sky, our to whose goal credentialing XX, to default Canvas non-traditional skills announced the they Badgr’s organizations countries. tool digital learners within from serves stackable in
to advance Credentials our offering rebranded Canvas non-traditional Badges billion $X the our opportunity. and Canvas expect market We address to strategy online
education our growing their to support segment their to this serve We are efforts customers student excited higher in of populations. rapidly
education the ahead. to we expect Last strategy market share growing with to a strength of effectively TAM With Instructure digits, cost acquisitions enhancing new Platform students. program. value and through pipeline we'll our and in M&A each quarter, International our footprint fastest segment of higher of Learning to channel strong, remained in goal discussed the fastest regions. market educational expanding pursue our share. mid-single to remains Fifth, our QX and LMS our in international grow in years we rapidly growing Our the the gain business our expand international strategic our remain international international and segment institutions partner the their to major continue continues with
the program to of a While is still off start early, strong plan. ahead pipeline with and bookings
resellers new XX value-added percent in signed a have globally. and distribution hundred of have We coverage emerging markets
announce in APAC. partners Tech are supporting Latin Data, as thrilled look international that will the relationships deepening We turbocharge our expanding forward us channel we and our distributor America to seek and all to largest to growth. across be with We IT of world's
Relief, salaries, in billion five-year Emergency schools under funding, district the spending, of benefits, consists appropriate such outlays, start use to ESSER appropriated vast expenditures, to and invested, considered This which According for to firm, billion is of unspent. XXXX government regulatory KXX three- discretionary which XX% Education increase as XX% and represents majority KXX are the of stimulus seldom for remains National Rescue Center be average the leading of and Secondary annual to $XXX policy ESSER janitorial approximately the non-discretionary billion stimulus roughly of a of recurring Plan American totaled $XXX School Elementary QX, the period, KXX consulting services, Turning funds. spending. fund, to $XXX because the Capstone, of over year, Statistics, according a to in funds roughly which be fiscal deployed capital had as a are funds the assuming
to in drive significant in expect We coming segment KXX ESSER to funds our continue demand incremental years.
RFP in Instructure. to upgrade decisions range build pandemic, beyond, a the ongoing look rates education growth substantial universities remainder the XXXX infrastructures. the competitive our With their major American North to and delayed continues of to as opportunities XX% during share win represent market pipeline Looking driver higher many of gains purchasing which
strong Our strategy. explore our our continue sheet leverage accelerate and M&A Instructure Platform and Learning pipeline cash robust, to ways balance flows remains we to to free
years. to all range encouraged We financial our on are continued strategic quarter coming ability vision I look momentum our to summary, our confident and the strong in the am execute exceeded metrics. which in first highly and by results, In forward guidance
Dale and would to call will the financial business. to our thank first the trends about favorable our for balance employees, partners, that, to guidance. ongoing talk customers, to the of the like our turn was I and expect staying are results which in quarter continue your year, drove again, ongoing once the outperformance in that revised momentum the support. shareholders We reflected XXXX our we I it With for now
